Did European Labor Markets Become More Competitive in the 1990s? Evidence from Estimated Worker Rents

26 Pages Posted: 14 Apr 2004

See all articles by Gilles Saint-Paul

Gilles Saint-Paul

University of Toulouse I - GREMAQ-IDEI; Centre for Economic Policy Research (CEPR); CESifo (Center for Economic Studies and Ifo Institute); IZA Institute of Labor Economics

Date Written: March 2004

Abstract

This paper analyses the evolution of quantitative measures of employee rents in Europe during the nineties, using the European Household Panel Survey. One looks at two class of measures: wage differentials between workers along industry and firm size dimensions, and estimated welfare differences between employed and unemployed using a model of labor market transitions. The results are largely negative; there is robust evidence of falling rents during that period only in Ireland.

Keywords: unemployment, insiders, rents, labour market flexibility

JEL Classification: D3, E24, J3

Suggested Citation

Saint-Paul, Gilles, Did European Labor Markets Become More Competitive in the 1990s? Evidence from Estimated Worker Rents (March 2004). IZA Discussion Paper No. 1067. Available at SSRN: https://ssrn.com/abstract=524643

Gilles Saint-Paul (Contact Author)

University of Toulouse I - GREMAQ-IDEI ( email )

Manufacture des Tabacs
21 Allees de Brienne
Toulouse, 31000
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+33 5 6112 8544 (Phone)
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Centre for Economic Policy Research (CEPR)

London
United Kingdom

CESifo (Center for Economic Studies and Ifo Institute)

Poschinger Str. 5
Munich, DE-81679
Germany

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

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